How to sell stock on Fidelity
To sell stock on Fidelity, log into your account, find the position you want to sell in your portfolio, and use the sell order form to specify how many shares you want to sell and at what price. The process takes about five minutes from start to finish. You can sell during market hours (9:30 a.m. to 4 p.m. Eastern time on weekdays) or place an order to execute after the market closes.
Fidelity offers three ways to place a sell order: through the website, the mobile app, or by phone with a representative. The website and app are fastest if you know which stock you want to sell and how many shares. Phone support is useful if you have questions about the tax impact of selling or need help locating a specific holding.
Key Takeaways
- You can sell stock through Fidelity's website, mobile app, or by calling a representative at 1-800-343-3548.
- Market orders sell when ready at the current price; limit orders let you set a minimum price but may not fill if the stock doesn't reach that price.
- Selling during market hours (9:30 a.m. to 4 p.m. ET on weekdays) executes the same day; after-hours orders execute the next trading day.
- Fidelity reports the sale to the IRS and shows your cost basis and gain or loss on your tax documents, but you are responsible for reporting it on your tax return.
Selling through the Fidelity website
Log into your Fidelity account and click on "Positions" or "Portfolio" to see all your holdings. Find the stock you want to sell and click on it. A detail page will open showing the current price, the number of shares you own, and your gain or loss.
Click the "Sell" button. A sell order form will appear. Enter the number of shares you want to sell. If you want to sell all your shares of that stock, Fidelity has a button that says "Sell All" to fill this in automatically. Then choose your order type: a market order sells at the best available price right now, while a limit order lets you set the lowest price you will accept. Market orders fill almost when ready during market hours. Limit orders may not fill if the price never reaches your target.
Review the order summary, which shows the estimated proceeds (the amount you will receive after Fidelity's commission). Click "Place Order" to confirm. You will see a confirmation number on screen and receive an email with the same number. Keep this for your records.
Selling through the Fidelity mobile app
Open the Fidelity app and tap "Positions" at the bottom of the screen. Scroll to find the stock you want to sell and tap it. The stock detail page shows your shares, current price, and your gain or loss.
Tap the "Sell" button. Enter the number of shares and choose your order type (market or limit). The app shows you the estimated proceeds before you confirm. Tap "Review Order" and then "Place Order." You will receive a confirmation number and an email receipt.
The mobile app works the same way as the website but is faster if you are on the go. All sell orders placed through the app or website go to the same account and settle on the same timeline.
Understanding market orders versus limit orders
A market order tells Fidelity to sell your shares at whatever price the market is offering right now. If you place a market order during market hours, it will fill within seconds at the current bid price. You know when ready how much money you will receive. Market orders are best when you want to sell quickly and do not care about getting the absolute highest price.
A limit order sets a floor price: you tell Fidelity "sell my shares, but only if the price is at least $50 per share." If the stock never reaches $50, your order will not fill. Limit orders can sit open for days or weeks. They are useful if you want to avoid selling at a temporary dip or if you are willing to wait for a better price. You can cancel a limit order at any time if the stock moves in the wrong direction.
Fidelity charges no commission on stock sales, so the choice between market and limit orders depends only on your timing and price expectations, not on fees.
When your sale settles and when you can use the money
Stock sales settle (clear and move money into your account) two business days after the sale. If you sell on a Tuesday, the money arrives in your Fidelity account on Thursday. Weekends and market holidays do not count as business days, so a Friday sale settles on Tuesday.
You can see the sale in your account when ready after it executes, but the cash will show as "unsettled" until the settlement date. Once settled, you can withdraw the money to your bank account, buy other investments, or leave it in your cash balance. Fidelity does not charge a fee to transfer settled cash to a linked bank account.
If you sell a stock and buy a different one within two business days, Fidelity will use unsettled cash from the sale to pay for the purchase. This is called a cash sweep and is automatic.
Tax reporting and cost basis
When you sell stock, Fidelity tracks your cost basis (the price you paid for the shares) and calculates your gain or loss. This information appears on your trade confirmation and in your tax documents. At the end of the year, Fidelity sends you a Form 1099-B, which reports all your sales to the IRS.
If you bought shares at different times and prices, you can choose which shares to sell. The most common methods are "first in, first out" (FIFO), which sells your oldest shares first, or "specific identification," which lets you pick exactly which shares to sell. Specific identification can lower your tax bill if you sell the shares with the highest cost basis. You must tell Fidelity which method you want before you place the order, or it will use FIFO by default.
Fidelity reports the sale to the IRS but does not file your tax return for you. You are responsible for reporting the sale on your tax return and paying any tax owed. A tax professional can help you understand the tax impact of selling, especially if you have a large gain or loss.
Selling fractional shares and partial positions
You can sell any number of shares, including fractional shares (less than one full share). If you own 10.5 shares of a stock, you can sell all 10.5 or just 5.25. Fidelity treats fractional shares the same as whole shares for pricing and settlement.
If you own the same stock in multiple accounts (for example, a taxable account and an IRA), you must sell from each account separately. Fidelity will not automatically combine them. When you click "Sell," you are selling only from the account you are currently logged into.
Frequently Asked Questions
Can I sell stock after the market closes?
Yes. You can place an order after 4 p.m. ET, but it will not execute until the next trading day. This is called an after-hours or next-day order. Market orders placed after hours will execute at the opening price the next morning, which may be different from the price when you placed the order. Limit orders placed after hours will wait until the next trading day to try to fill.
What if I want to sell but the stock is not moving?
You can place a limit order at any price you choose, even if it is higher than the current price. However, if the stock never reaches that price, your order will not fill. You can also cancel the order at any time and place a new one. There is no penalty for canceling an unfilled order.
Do I have to pay a commission when I sell stock on Fidelity?
No. Fidelity charges no commission on stock sales. You pay only the bid-ask spread (the difference between what buyers will pay and what sellers are asking), which is built into the market price and is not a separate fee.
What happens if I sell a stock and then want to buy it back right away?
You can buy it back when ready. However, if you sell a stock at a loss and buy it back within 30 days before or after the sale, the IRS may disallow the loss under the "wash sale" rule. This rule prevents you from using losses to offset gains for tax purposes. A tax professional can explain how wash sales affect your specific situation.
Can I sell stock that I do not own yet?
No. You can only sell shares you currently own in your account. Fidelity does not allow short selling (selling borrowed shares) in standard brokerage accounts, though it is available in margin accounts with additional requirements and risks.